As every landlord knows, good tenants aren’t easy to find. So, when a tenant pays rent on time, respects the property, and interacts pleasantly, you want to keep them long-term. And beyond the benefits of retaining high-quality tenants, a lease renewal avoids the losses and expenses that come with vacancy. Less advertising, fewer showings, and less turnover maintenance equate to a higher investment return and more leisure time.
So, how can a landlord increase the odds that a tenant will sign a lease renewal? Here are five simple but meaningful strategies to make renters more likely to stay.
A Great First Impression. Taking the time to introduce yourself and show new tenants around makes a great first impression. A small welcome gift or a guide highlighting local shops and restaurants are easy options to show renters you care. The more a tenant feels at home in your unit, the more likely they will want to stay.
Open Communication. Once you establish a positive relationship with your renters, keep it thriving with ongoing communication. Send your tenant a card on a special occasion or show up in person to oversee repair work. Quick responses to renters’ questions or maintenance requests will also demonstrate your commitment to your property and the tenants who live there.
Up-to-Date Amenities. An old dishwasher or clunky HVAC unit may tempt a tenant to seek an upgrade when their lease term runs out. And as renters become increasingly intrigued by smart technology, installing keyless entry pads or smart thermostats could give your property an edge. Providing amenities that appeal to your ideal tenant will make them more likely to stay long-term.
Renewal Incentives. When it’s time to renew their lease, don’t hesitate to sweeten the deal! Offer a fresh coat of paint, a new dishwasher, or professional carpet cleaning to tip the balance in your favor. A rent discount might even be appropriate if the tenant renews for more than a year.
Flexibility and Compassion. Treating renters with empathy throughout the lease term establishes trust and loyalty. Offering some flexibility if they are experiencing a short-term hardship can also make a difference when it’s time to renew. If you have great tenants you’d like to keep around, be willing to negotiate. Allowing pets or a shorter lease term may help you retain your best renters longer.
Check local laws periodically to stay in compliance as you approach renters about lease renewals. Give tenants plenty of time to think and respond. And if renewal isn’t possible, give yourself plenty of time to secure a new tenant. But regardless of your lease renewal timing, remember that every interaction influences your tenant’s decision to stay!
About Rentals America
Rentals America provides full-service property management for residential rental properties. Our team is wholly dedicated to property management, and we’re here to help landlords navigate the rental market.
